"Carbon emission and firms’ value: Evidence from Europe"

Salvatore Perdichizzi (dSEA Unipd)
Bruno Buchetti (dSEA Unipd)
Antonella Francesca Cicchiello (Catholic University of Sacred Heart)
Lorenzo Dal Maso (University of Bologna)


Growing climate change concerns have intensified focus on corporate CO2 emissions. This study, published in Energy Economics, in Europe reveals that higher carbon emissions are linked to lower market valuation. Interestingly, CO2 emissions reduce the importance of earnings for market value, especially for highly polluting firms. Direct emissions primarily drive these effects. Additionally, the authors establish that  country-level institutions shape these effects.

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